Sensex Today | Market Close Highlights: Sensex ends up 190pts, Nifty at 22,096; IT index down 2.3%, broader market gains

Sensex Today Live : Across sectors, the IT index continued to remain in the red. It was down 2.30%.

Among the gainers were Realty and Auto , up 1.72% and 1.70%, respectively. Following them were Healthcare, up 1.34%, Pharma and Media, up 1.31% each, and Metal, up 1.04%.

Other heavyweight indices, like Bank, Financial Services, FMCG, Consumer Durables and Oil & Gas, were also in the green.

Sensex Today Live : The broader market was in the green, with the BSE SmallCap Index up 1.11%, and the BSE MidCap index up 0.35%.

Sensex Today Live : Hero MotoCorp, UPL, Maruti Suzuki India, Apollo Hospital Enterprises, and Sun Pharma, were the top gainers on the Nifty 50, while LTI Mindtree, Infosys, Wipro, HCLTech, and TCS, were the top drags. 

Sensex Today Live : Maruti Suzuki India, Sun Pharma, Titan, Larsen & Toubro, and ITC, were the top gainers on the Sensex, and Infosys, Wipro, HCLTech, TCS, and Tech Mahindra, were the top drags.

Sensex Today Live : Indian benchmark indices were up on Friday.

At 3 pm, Sensex was up 201.89 points, or 0.28%, at 72,843.08, and Nifty was up 104 points, or 0.47%, at 22,115.95.

Sensex Today Live : After record inflow of $56bn in the US last week, we saw flows cooling off with outflow of $22.6bn. US Smallcap flows continue to show strong momentum since the beginning of 2024.

· EM flows have remained relatively soft since the past few weeks not showing any significant trend.

· We are finally witnessing initial signs of slowdown in India flows. Total inflows into India dedicated funds of $144mn (Large + Mid+ Small) are slowest since May’23. This is largely on back of big outflow of $256mn from Luxemburg domiciled funds while inflows from US and Japan domiciled funds also dropped by 55%-65% from average levels.

· India dedicated Long-only funds saw their first redemption of $184mn in 1-year. India midcap funds had started taking slower outflows since Jan’24 but pace has finally started expanding. Only place where India flows remain relatively strong was in ETFs.

· In CY23, India saw strong liquidity from both Foreign and Domestic investors. This created a frenzy in Small and Midcap space. Currently, the foreign liquidity is drying up in SMID space which can slow down the price momentum. Need to closely monitor how the domestic liquidity shapes up from here.

· In past, India dedicated Midcap funds had seen strong inflows in 2014-2015 and 2017-2018 period. In the 2016 redemption cycle, Midcap stocks did not suffer as Domestic flows were very strong post Demonetization. In 2018-2020 redemption cycle, Midcap stocks took a big beating as domestic liquidity also dried-up.

· Along with the slowdown in India flows, foreign flows have shown some recovery in China with 7-week large inflow of $534mn. India has underperformed China by 10% from the peak, largest since Oct’22 period. This could be another trigger for liquidity shifting back into China for some time.

Sensex Today Live : A recent study by the World Inequality Lab reveals that income and wealth disparity in India has reached an unprecedented high, with the wealthiest 1% owning a larger share than their counterparts in countries such as China and Brazil. The authors caution that if this issue is not addressed, India could potentially devolve into a plutocracy. (Read the full story here.)

Sensex Today Live : The Federal Reserve continues to plan for a reduction in interest rates later this year, a move eagerly anticipated by many U.S. households and small businesses. However, for large corporations with access to the corporate bond market, and investors benefiting from a bullish stock market, the Fed’s relief doesn’t appear to be a pressing need.

On Wednesday, the Fed maintained its federal-funds rate target at a range of 5.25% to 5.5%, the highest in over two decades, while reaffirming its intention to lower interest rates within the year. Fed Chair Jerome Powell reiterated his view of the current rate level as “restrictive,” indicating that “a reduction in policy restraint will likely be warranted at some point this year.” (Read the full story here.)

Sensex Today Live : —HCLTech, today informed the exchanges that it has received two new Microsoft Azure specializations for its portfolio of artificial intelligence (AI) and machine learning (ML) solutions.

The company said the new specializations – AI and Machine Learning on Microsoft Azure; and Build and Modernize AI Apps with Microsoft Azure – underscore HCLTech’s expertise in delivering end-to-end AI and ML solutions with its Scale AI data science platform that allows enterprises to rapidly develop and deploy custom ML models.

The platform enables companies to deliver world-class customer experiences, streamline operations and facilitate intelligent decision-making.

With this, HCLTech has 21 Microsoft specializations covering Azure, modern workplace, security, analytics and business applications, in addition to AI and ML.

Sensex Today Live : Indian benchmark indices were up on Friday.

At 1 pm, Sensex was up 174.71 points, or 0.24%, at 72,815.90, and Nifty was up 82.20 points, or 0.37%, at 22,094.15.

Sensex Today Live : L&T today informed the exchanges that it has received the approval of NCLT for the amalgamation of L&T Innovation Campus (Chennai) and L&T Seawoods.

In an exchange filing, the company said, “This is with reference to our letter dated July 20, 2023, intimating the approval granted by the Board of Directors of LTICCL and LTSL for the Scheme of Arrangement for merger of LTICCL with LTSL (wholly owned subsidiaries of the Company).

We wish to inform you that the Hon’ble National Company Law Tribunal, Mumbai Bench (NCLT) vide its order dated March 14, 2024 had approved the said Scheme of Amalgamation.”

The appointed date for Scheme is April 1, 2023, it added.

Sensex Today Live : A2Z Infra Engineering today informed the exchanges that it has received a tax demand order of ₹8.90 crores from the GST Department.

In an exchange filing, the company said, “We hereby submit the disclosure regarding the demand notice dated 29 February, 2024 for the Financial Year 2018-19 and 2019-20 received by the company from the Goods and Services Tax Department (GST) on 21s March, 2024 for an amount of INR 8,90,22,512, including penalties for the FY 2018-19 and 2019-20 and interest for the F.Y. 2019-20.”

The company revealed that the penalty was imposed due to disallowance of input tax credit by the GST Department under Section 16 (4) of CGST Act 2017 in relation to filing of GSTR3B returns beyond time period specified.

Sensex Today Live : In the three months leading up to February, Accenture Plc, a provider of IT services, successfully landed GenAI (Generative Artificial Intelligence) projects worth $600 million. This follows the $450 million in similar deals they secured in the first quarter.

The management at Accenture has stated that GenAI is the quickest technology to exceed $1 billion in sales.

Accenture, whose financial year runs from September to August, has secured $1.1 billion in GenAI projects in the first half of this fiscal year. This comes after they first reported the deal value in this new technology in June of the previous year, when they announced that they had secured $100 million in standalone GenAI projects from February to May. (Read the full story here.)

Sensex Today Live : Indian benchmark indices were up on Friday.

At 1 pm, Sensex was up 208.14 points, or 0.29%, at 72,849.33, and Nifty was up 87.50 points, or 0.4%, at 22,099.45.

Sensex Today Live : ICICI Securities hosted Grasim Industries’ senior management including Rakshit Hargave, CEO – Birla Opus Paints (BOP).

Key statements include: (1) Its primary objective is ‘aggressive market share gains’

(2) We are a start-up rather than a traditional paint company

(3) BOP (overall) pricing is ~15-18% lower than peers

(4) aggressive focus on Projects (B2B)

(5) BOP has introduced first-ever offer of 10% extra volume

(6) BOP has a team of 2,800 employees and 30% is from paints industry. 70% has worked in consumer staples, durables and other industries.

We reckon incumbents may have to choose between market shares or margins.

We reckon [comfortable] competitive equilibrium in Paints is likely broken. Retain underweight on large cap paints.

Contrarian investors may consider owning Akzo Nobel / Indigo Paints/Kansai Nerolac.

Sensex Today Live : Shree Cement today informed the exchanges that it has launched Bangur Concrete with the commissioning of its first Greenfield Ready Mix Concrete (RMC) plant in Hyderabad.

The plant has a capacity of 90 cubic meters per hour. The commissioning of the state-of-the-art unit aligns with the company’s vision to emerge as a multi-product player in the core cement business.

As part of this strategy, Shree Cements had acquired five operational plants of StarCrete LLP in Mumbai earlier this month for a consideration of ₹33.5 crore. The company’s combined RMC capacity now stands at 512 cubic meters per hour.

Speaking on the occasion, Neeraj Akhoury, Managing Director of Shree Cement Ltd, said, “This venture into Ready Mix Concrete marks our entry into a promising new line of business. We recognise the vast potential of RMC business, which is being driven by India’s growth momentum… We’re committed to aggressively expand our presence in this market by building new units as well as acquiring plants.”

Sensex Today Live : KEC International a global infrastructure EPC major from RPG Group, today informed the exchanges that it has secured new orders of ₹1,004 crores across its various businesses:

Transmission & Distribution (T&D):

The business has secured orders for T&D projects in India and Americas:

• Composite order for construction of transmission lines, substations and underground cabling in India

• Supply of towers, hardware and poles in Americas

Civil:

The business has secured an order for a residential project from a renowned real estate developer in India.

Railways:

The business has secured an order for 2 x 25 kV Overhead Electrification (OHE) and associated works for speed upgradation in India.

Cables:

The business has secured orders for supply of conductors and cables in India:

• Maiden order for supply of power transmission conductors (ACSR and AL-59) from a reputed government utility

• Supply of various types of cables

Sensex Today Live : US futures prices of corn and soybeans ticked up 3-5% sequentially amid short covering and some uncertainty regarding weather, but are still lower 17-30% yoy.

In general, farm economics have weakened in recent months, and that is a worry for agrochemical demand.

In India, vegetable prices are significantly higher yoy, while palm oil prices have also perked up amid weather-related concerns. Rainfall remained deficient across the country in March, and reservoir levels remain low in southern India.

Fertilizer prices remain generally weak, although urea has perked up recently in the US. On the agrochemical 9(3) registration front, while there were new registrations obtained by several companies including Sumitomo, Dhanuka, Rallis and Best Agro, the most interesting seems to be pydiflumetofen, a patented fungicide from Syngenta.

Sensex Today Live : India’s exports of organic and inorganic chemicals jumped 23%/33% mom/yoy in February 2024 for reasons that are not yet apparent—the leading specialty chemical companies do not seem to have experienced a pickup.

The demand environment generally remains subdued, with crop prices under pressure and chemical prices also generally soft. We continue to expect sluggish performances in general for another quarter or two.

India’s exports of organic and inorganic chemicals jumped 23%/33% mom/yoy in February 2024, while imports also picked up 9% mom but fell 12% yoy. The reason for the spike in monthly exports is not yet apparent, as a category-wise breakdown is not yet available. Besides, the softness in imports may indicate weak domestic demand. US chemical production for February 2024 was lower by 1.3%/0.2% mom/yoy, while chemical railcar holdings—a measure of volumes—increased 4.9% yoy on a 13-week moving average basis for the week ending March 9. US data indicates continued softness in pricing, with chemicals producer prices down 4.9% yoy and import prices down 0.2%/18.1% mom/yoy. Commentary from global companies suggests that a demand recovery is not apparent for the near future and, besides, Chinese overcapacity is an overhang.

While chemical prices remain soft in general, a few points worth highlighting include:

(1) prices of BOPP film increased 10% mom—potentially a positive sign for SRF’s Packaging Films Business, although raw material polypropylene prices have also risen in recent months;

(2) HFC refrigerant prices have perked up in China YTD, as highlighted in our recent note;

(3) there may be some pricing pressure on certain contract-manufactured products, e.g., topramezone and DFPA for SRF and Solstice 1233zd for NFIL;

(4) Astec has started shipments of pyroxasulfone—a sign of looming competition for PI and its customer Kumiai;

(5) market reports suggest there might be a shortage of nitric acid (a key raw material for Deepak Nitrite and Aarti Industries) amid a plant shutdown by a key producer. Soda ash prices remain under pressure, as do phenol spreads.

Sensex Today Live : Across sectors, IT was the only index in the red, down 1.97%. Among the top gainers were Media, up 1.54%, followed by Auto, up 1.36%. Other heavyweight indices like Pharma, Healthcare, FMCG, Bank and Oil & Gas were also in the green.

Sensex Today Live : The broader market was in the green, with the BSE MidCap index up 0.22%, and the BSE SmallCap index surging 1.01%.

Sensex Today Live : UPL, Hero MotoCorp, Bajaj Auto, Sun Pharma, and Tata Motors, were the top gainers on the Nifty 50, while HCLTech, Wipro, Infosys, LTIMindtree, and TCS, were the top drags.

Sensex Today Live : Sun Pharma, Tata Motors, Maruti Suzuki India, Titan, and Tata Steel, were the top gainers on the Sensex, while HCLTech, Wipro, Infosys, TCS, and Tech Mahindra, were the top drags.

Sensex Today Live : Indian benchmark indices were up on Friday.

At 11 am, Sensex was up 219.72 points, or 0.30%, at 72,860.91, and Nifty was up 86.05 points, or 0.39%, at 22,098.

Sensex Today Live : Nitin Gadkari, the Minister of Road, Transport & Highways, proposed a tax reduction for hybrid vehicles to 12% from 28%/43% for sub-4m and above-4m hybrid vehicles, respectively.

If the proposed policy is implemented, the ex-showroom prices of the hybrids are likely to come down by 21% and TCO will become favorable for hybrids as compared to pure EVs.

Incrementally, OEMs (especially Japanese) may accelerate product introductions with strong hybrid technologies, which may hamper EV adoption in the near term.

If the proposed policy on hybrid vehicles is implemented, ex-showroom prices of hybrids are likely to come down by 21%. There are five hybrid models on road, which include Maruti Suzuki Grand Vitara & Invicto, Toyota Urban Cruiser Hyryder & Innova Hycross and Honda City. For instance, the price of Maruti Suzuki Grand Vitara Alpha (AT), which is currently sold at an ex-showroom price of ₹1.7 mn, which is likely to come down to ₹1.34 mn. Also, ex-showroom price of Maruti Suzuki Invicto will come down to ₹2 mn from ₹2.5 mn.

TCO of hybrid vehicles with proposed tax policy will be lower than EV vehicles

Also, we believe that there can be more launches of strong hybrids across segments, which may impact adoption of EVs in the near term given favorable TCO and no charging requirements unlike EVs.

Globally, Japanese and Korean OEMs have hybrid electric (HEV) offerings, while in India, Japanese OEMs have a few hybrid offerings, placing them in a sweet spot to capitalize on the proposed policy change.

If the proposed taxation structure is implemented, we believe hybrid adoption can increase in other segments as well (SUVs, sedan and hatchback).

We also expect customers delaying their EV/hybrid purchases as OEMs may progressively prioritize the introduction of hybrid variants for current models and potentially unveiling new models in the coming years.

This will definitely impact pure electric vehicle sales in the near term and there can be increase in competitive intensity as Tata Motors and M&M (focusing on pure EVs) may resort to further price cuts (including passing on the benefits of PLI to end-consumers) to drive sales for pure EVs.

Sensex Today Live : Accenture reported a weak quarter and cut FY2024 revenue growth (August year-ends) guidance to 1-3% from 2-5% earlier. The cut in organic guidance is sharper noting enhanced M&A contribution to FY2024E revenues. The guidance cut captures deterioration in discretionary spending and further cut in short-cycle programs. Read-through is negative for the rest of the IT services sector and indicates higher-than-expected weakness in spending.

Key Highlights:

Demand environment. Clients continue to prioritize invest large-scale transformations that convert to revenue more slowly, while further limiting discretionary spending, particularly in smaller projects. Continued delays in decision-making and a slower pace of spending.

Growth composition. Revenue growth hit mid-single digit or higher in public services, life sciences, health, utilities, energy and hi-tech. In North America, growth in public services was offset by declines in banking capital markets, software and platforms and communications and media. In EMEA, growth in public services was offset by declines in communications and media and banking capital markets. Revenue growth in Italy was offset by declines in the United Kingdom, France and Ireland. In growth markets, revenue growth was led by banking capital markets, industrial, public service and chemicals and natural resources. Revenue growth was driven by Japan and Argentina, partially offset by declines in Australia and Brazil.

Guidance composition. Consulting will be flat at midpoint of guidance. Managed services will grow in mid-single digit in FY2024.

Technology opportunities. Cloud, data, AI, security, modern platforms such as ERP and security continue to present elevated opportunities for Accenture. As client spending increases, Accenture can benefit from pent-up demand.

2HFY24. Revenue growth will increase on yoy basis in 2HFY24 due to higher contribution from inorganic growth and ramp-up of large deals.

Other highlights. Clients can reduce spending on services quickly compared to software. Client spending is tied to tech budgets and macro. 39 clients signed quarterly bookings greater than US$100 mn.

Sensex Today Live : IDFC First Bank shares are in focus today due to an act of generosity by the company’s Managing Director. He has given away 7 lakh equity shares to five individuals who have no relation to him.

The bank disclosed in a stock exchange filing that its Managing Director & CEO, V. Vaidyanathan, presented 7,00,000 of the company’s equity shares that he owned to five individuals on March 21, without any exchange of value.

IDFC First Bank clarified that the beneficiaries of this gift have no connection to V. Vaidyanathan as per the definitions of related parties in the Companies Act or SEBI Regulations. The bank emphasized that these transactions were carried out without any consideration. (Read the full story here.)

Sensex Today Live : Mahindra Lifespace Developers informed the exchanges today that it has been ordered by the Executive Magistrate, Bhiwandi, to make a payment of ₹10.63 crores for alleged non-adherence to certain provisions of the Maharashtra Land Revenue Code, 1966.

In the exchange filing, the company, said, “The Company has received an Order from the Office of Tahsildar and Executive Magistrate, Bhiwandi to make payment of Rs.10,62,69,108/- (Rupees Ten Crore Sixty -Two Lakh Sixty Nine Thousand One Hundred and Eight only) for alleged non-adherence to certain applicable provisions of the Maharashtra Land Revenue Code, 1966. “

The order alleges that the Company has carried out certain activities which are not in compliance with the applicable provisions of the Maharashtra Land Revenue Code,1966.

However, the company said that it believes it has a strong case on merits and is pursuing suitable legal avenues, including contesting the Order with the competent authority.

Sensex Today Live : Indian benchmark indices had pared some of their losses, but were still in the red on Friday, led by mixed cues from global peers.

At 11 am, Sensex was up 58.53 points, or 0.08%, at 72,699.72, and Nifty was up 25.50 points, or 0.12%, at 22,037.45.

Sensex Today Live : NITCO Ltd., informed the exchanges today that it has been served a show cause notice by markets regulator Sebi.

In an exchange filing, the company said, “We hereby inform you that the Company has received Show Cause Notice (SCN) dated March 20, 2024, issued by Securities and Exchange Board of India.”

The exchange filing said, “The SCN alleges that:

1. The Company has not complied with the provisions of IND- AS 36, 109 and 24.

2. CMD has violated few clauses of provisions of Regulations 4, 17 r/w Regulations 33, 34 and 48 of the SEBI (LODR) Regulations, 2015 and Section 27 of the SEBI Act, 1992.

The Noticees have been directed to reply to SCN within the stipulated timelines”

Sensex Today Live : Man Infraconstruction informed the exchanges today that it has bagged an uber luxurious sea-facing residential project near Marine Lines in South Mumbai that has a total revenue potential of ₹2,100 crores, which could generate a profit before tax north of ₹400 crores.

In an exchange filing, the company said, “MICL group intends to deliver this project in a span of 5 years from launch date. With the total construction area of approximately 22 lakh square feet offering a RERA carpet area of around 5.3 lakh square feet for sale, the project is expected to generate total sales value of above Rs. 2,100 crore”.

The company added that the project is executed under its asset-light development management model and it has secured a Letter of Intent (LOI) from Shreepati Zaoba Housing LLP.

MICL is poised to achieve an expected Profit Before Tax of Rs. 400+ crore from this project, the company said, adding that it will comprise of the DM fees, Project Management Consultancy (PMC) fee on construction and an interest income on the initial investment made by the company in the project.

Sensex Today Live : Castrol India informed the exchanges today that it has tied up with KTM as the official performance partner for KTM Cup Season 2.

Castrol India, in an exchange filing, said, Castrol POWER1, the company’s performance lubricant will be powering the upcoming second season of the KTM Cup 2024 as the official Performance Partner.

It added that this association is strategically aligned with the brand’s increasing focus on driving and strengthening performance motorsports in India. KTM Cup is India’s largest Racing Championship that attracts participation from all over the country.

Rohit Talwar, Vice President and Head of Marketing of Castrol India Limited, said, “I am excited to unveil our dynamic collaboration with KTM as a performance partner. As a first we will be powering the electrifying KTM Cup Season 2. This collaboration epitomizes our dedication to excellence and innovation in performance engine oils”.

Sensex Today Live : Indian benchmark indices had pared some of their losses, but were still in the red on Friday, led by mixed cues from global peers.

At 10 am, Sensex was down 92.06 points, or 0.13%, at 72,549.13, and Nifty was down 14.20 points, or 0.06%, at 21,997.75.

Sensex Today Live : Following the release of weak guidance by Accenture, the global IT giant’s share price plummeted over 9 percent on the New York Stock Exchange (NYSE). This resulted in a decline in the American Depository Receipt (ADR) shares of Indian IT heavyweights Wipro and Infosys. Accenture’s share price experienced a steep sell-off after the company downgraded its full-year revenue growth forecast to 1 percent to 3 percent, lower than the initial estimates of 3 percent to 5 percent.

This substantial reduction in Accenture’s revenue guidance impacted Indian IT shares in early Friday trading, with the Nifty IT index falling by approximately 3 percent. Major Indian IT companies such as Wipro, Infosys, Tata Consultancy Services (TCS), and HCL Technologies saw their shares turn red following a significant drop from their Thursday closing prices.

This sell-off in IT stocks pulled the Indian stock market into the red, with the Nifty 50 and Sensex dipping around 0.30 percent in the early morning session. (Read the full story here.)

Sensex Today Live : DB Realty (now knows as Valor Estate) informed the exchanges today that it has settled the dues of Pune Buildtech Pvt. Ltd. through a one time settlement with Bank of India, resolving the insolvency petition the bank had filed with the NCLT, Mumbai.

In an exchange filing, the company, said, “In the matter of Financial Creditor invoking the Corporate Guarantee given by the Company in the past for loan availed by principal borrower, Pune Buildtech Private Limited (Borrower), we have to inform that Borrower and Financial Creditor have agreed to file Consent Terms with NCLAT, New Delhi pursuant to the One Time Settlement entered into between the Financial Creditor and Borrower. Accordingly, the Financial Creditor shall withdraw any and all other CIRP proceedings instituted, and actions taken by it under any law against the Company and others in the said matter and as a result the NCLT order dated July 4 th, 2023 passed against the company shall be set aside.”

The company added that the long pending issue between the Bank of India and the company stands resolved without any liability whatsoever to it.

Sensex Today Live : Across sectors, the IT index had tanked 3.30%, followed by Metal and Oil & Gas, which were down 0.29%, and 0.25%, respectively. The Realty index was up 1.13%.

Sensex Today Live : The broader market was in the green but muted, with the BSE MidCap index up 0.01%, and the BSE SmallCap index was up 0.38%. 

Sensex Today Live : Sun Pharma, Cipla, UPL, Titan, and Bharti Airtel, were the top gainers on the Nifty 50, while IT stocks HCL Tech, Wipro, Infosys, LTIMindtree, and TCS, were the top losers. 

Sensex Today Live : Sun Pharma, Titan, Bharti Airtel, ITC, and HUL, were the top gainers on the Sensex, while HCLTech, Wipro, Infosys, TCS, and Tech Mahindra, were the top drags. 

Sensex Today Live : Indian benchmark indices opened in the red on Friday, led by mixed cues from global peers.

At opening bell, Sensex was down 261.20 points, or 0.36%, at 72,379.99 and Nifty was down 73.55 points, or 0.33%, at 21,938.40.

Sensex Today Live : Indian benchmark indices were red at pre-open on Friday, led by mixed signals from global markets.

Sensex was down 409.53 points, or 0.56%, at 72,231.66, and Nifty was down 79.75 points, or 0.36%, at 21,932.20 during pre-open.

Sensex Today Live : Gensol Engineering today informed the exchanges that it has secured the largest-ever turnkey EPC order in size and value from a leading power generation utility in the state of Maharashtra.

The project involves the development of a 100 MWAC/135 MWp ground-mount solar PV power project across 500 acres in Maharashtra with a total order value of ₹520 crore.

Commenting on the new project, Ali Imran Naqvi, CEO of Gensol Engineering (EPC Business), said, “We are thankful for the trust shown by the leading state power generation utility in India in Gensol, it reflects our expanding expertise as a comprehensive provider of end-to-end solar solutions. This project will play a critical role in India’s clean energy transition and decarbonised future, and we stand 100% committed to this goal while bringing in the right energy mix”.

Sensex Today Live : Global investors appear to be regaining interest in emerging markets (EMs), driven by the anticipation of three interest rate reductions by the US Federal Reserve in 2024.

As anticipated, the US Fed maintained the Federal Funds rate at 5.25%-5.5% on Wednesday. The commentary from Fed chair Jerome Powell suggested that the recent surge in US inflation and a robust labour market would not deter the central bank from implementing rate cuts. This has strengthened investor confidence in Asian equities on Thursday. (Read the full story here.)

Sensex Today Live : The Indian stock market, represented by the Sensex and Nifty 50 indices, is anticipated to have a subdued start on Friday due to mixed signals from global markets. The Gift Nifty trends also suggest a lukewarm kick-off for the Indian benchmark index, trading around the 22,091 mark, nearly 15 points lower than the previous close of Nifty futures.

On the previous day, the domestic equity indices ended with substantial gains, with the Nifty 50 closing above the 22,000 mark. The Sensex soared by 539.50 points to end at 72,641.19, while the Nifty 50 increased by 172.85 points, or 0.79%, to settle at 22,011.95.

The Nifty 50 chart showed a small positive candle with minor upper and lower shadows, along with a gap-up opening. According to Nagaraj Shetti, Senior Technical Research Analyst at HDFC Securities, this pattern technically signifies a market rebound following a downward correction. After recently negating a bullish pattern of higher tops and bottoms, the current rebound is expected to form a lower top in the upcoming sessions. (Read the full story here.)

Sensex Today Live : The local equity market is anticipated to commence on a subdued note this Friday, taking cues from a mixed global market. Asian markets exhibited a mixed trend, with Japan’s Nikkei reaching an unprecedented high. Concurrently, US stock indices concluded at record closing levels, buoyed by the optimism surrounding potential interest rate cuts by the US Federal Reserve this year.

On the previous day, the Indian stock market’s benchmark indices concluded with substantial gains. This was propelled by comprehensive buying, spurred by positive global indicators following the US Federal Reserve’s indication of three interest rate cuts this year.

The Sensex escalated by 539.50 points or 0.75%, culminating at 72,641.19, while the Nifty 50 rose by 172.85 points or 0.79%, settling at 22,011.95.

Siddhartha Khemka, Head of Retail Research at Motilal Oswal Financial Services Ltd, expressed expectations for the market recovery to persist in the coming days. He highlighted that large caps are favorably positioned in terms of valuation comfort and growth visibility. However, he cautioned that volatility in the broader market remains a possibility. (Read the full story here.)

Sensex Today Live : With most global peers climbing up, Indian markets looked poised to have a strong trading session ahead of the long weekend today. Gift Nifty futures were also trading ahead of Nifty 50’s Thursday close.

At 8 am, Gift Nifty was at 22,071, 60 points ahead of Nifty 50’s Thursday close of 22,011.95.

Asian stocks were near a weekly gain on Friday and the Nikkei charged to a record high, riding a rally from its global counterparts after a surprise rate cut from the Swiss National Bank had investors wagering who could be next.

The SNB’s 25 basis point rate cut on Thursday proved a shot in the arm for global risk sentiment as markets raced ahead to bet on big central banks lowering borrowing costs this year, sending Wall Street closing at record highs.

MSCI’s broadest index of Asia-Pacific shares outside Japan ran into some profit taking in early trade on Friday after jumping nearly 2% in the previous session, and was last 0.17% lower. Still, the index was on track to gain more than 1% for the week.

Other benchmarks in Asia also scaled new peaks, with Japan’s Nikkei and the Taiwan weighted index charging to record highs. Both were on track for a weekly gain of nearly 6% and 3%, respectively.

South Korea’s KOSPI similarly hit a two-year top.

Elsewhere, stocks in China and Hong Kong were a sea of red, with the blue-chip CSI300 index down more than 0.5% and the Hang Seng Index nearly 2% weaker, thanks to the yuan’s slide past the 7.2 per dollar level for the first time since November.

In commodities, Brent fell 43 cents to $85.35 a barrel, while U.S. crude eased 41 cents to $80.66 per barrel.

Spot gold was down 0.28% at $2,174.89 an ounce, after hitting an all-time high on Thursday.